ZONE Wallet Virtual Asset Transaction Risk Disclosure Statement

This Risk Disclosure Statement (the “Statement”) should be read in conjunction with ZONE Wallet's Terms of Use or other relevant documentation, use/trading rules to better understand the risks you may face when using the Company's Virtual Assets for the purchase, transfer, custody and related services. This statement provides only a brief description of the risks that may be involved and does not cover the risks that may occur in all transactions, purchases or holdings of virtual assets. You should confirm that you are using some or all of our services if you are aware of the risks involved before each order is executed.

IN ADDITION, THIS STATEMENT MAY NOT PROVIDE THE MOST COMPLETE OR UP-TO-DATE INFORMATION IN REAL TIME. WE RECOMMEND THAT YOU VERIFY OR DETERMINE FOR YOURSELF THE ACCURACY, RELIABILITY AND TIMELINESS OF THE RELEVANT INFORMATION BEFORE USING SOME OR ALL OF OUR VIRTUAL ASSET SERVICES.

1. Market risk

Trading virtual assets is highly risky. When trading or selling virtual assets, please understand that the value of a virtual asset is highly likely to fluctuate due to any event (including but not limited to market conditions, policy and regulatory changes, technological changes, market sentiment, major news events, and many other factors), and past price performance is unparalleled Here's the price movement. The price of virtual assets can rise sharply in a short period of time, and investors may face total or substantial losses.

In addition, virtual assets may not be supported or endorsed by any government in the world, and may even be subject to explicit prohibition or restriction by any government legislation in the world. Please note that virtual assets are not official or fiat currencies and cannot guarantee that anyone will accept payments in traditional currencies in place of virtual assets, prices for goods or services, etc. Therefore, the risk of holding virtual assets may be much higher than that of holding other financial goods, traditional assets or commodities. Whether you are qualified to own or trade virtual assets depends on your personal financial situation, investment experience and risk tolerance. Be sure to carefully evaluate yourself before using our services or trading.

By using some or all of the virtual asset services provided by ZONE Wallet, you agree that you fully understand and are willing to assume the risks involved. You also agree that you have waived any and all rights of request against us for any loss or damage arising from the risks involved in the purchase and sale of Virtual Assets.

Second, legal and regulatory risks

The legal status, regulatory framework, and tax policies for holding, trading virtual assets may vary depending on your jurisdiction of residence and may change from time to time. Different countries or regions may differ significantly in the definition of virtual assets, transaction legality, tax treatment, etc., and some jurisdictions may prohibit trading activities for virtual assets in whole or in part.

You should consult relevant professionals (such as lawyers, accountants or tax advisors) before using some or all of ZONE Wallet's virtual asset services to understand the impact of the laws of different jurisdictions on your trading or holding behavior. In addition, you are solely responsible for complying with legal matters and tax filing requirements. We do not provide any legal or tax advice.

Please note that you should not use ZONE Wallet services if virtual asset transactions are prohibited or restricted in your jurisdiction. It is your responsibility to ensure that your use complies with all applicable laws and regulations.

Third, liquidity risk

Different virtual assets may be subject to liquidity risk due to factors such as supply conditions, market depth, issue team management issues, technical developments, or market acceptance. When the liquidity of virtual assets is low, there may be strong volatility due to large transactions or excessive spreads.

IN ADDITION, INSUFFICIENT LIQUIDITY MAY RESULT IN THE RISK OF INABILITY TO CLOSE TRADES IN A SHORT PERIOD OF TIME, UNFAVOURABLE TRADING PRICES, OR FAILURE TO CLOSE POSITIONS IN AN EMERGENCY. Some small or emerging virtual assets may have limited liquidity, and investors should pay special attention to. In extreme market conditions, liquidity depletion can occur even for mainstream virtual assets.

Fourth, market manipulation risks

Due to different levels of regulation of virtual assets by governments and no uniform standards for virtual asset issuance, virtual asset markets may lack regulation and transparency compared to traditional financial markets. Therefore, market manipulation of some virtual assets is not excluded, including but not limited to:

• Pump and Dump Prices
• Fake Transaction Volume
• Inline Trading
• Collaborative Price Manipulation
• Other Unfair Market Conduct

Remind you to ensure that you are aware of the virtual assets and have adequate knowledge of the concepts and knowledge of virtual assets before trading or holding any virtual assets. It is recommended that you conduct adequate due diligence before investing, including information about project team backgrounds, technical white papers, token economic models, market trading conditions, etc., to avoid damage from market manipulation or fraud.

5. Trading counterparty risk

You should be aware that when you trade, hold or transfer virtual assets through ZONE Wallet Virtual Asset Services, including but not limited to the Company itself, third party platforms with which you send or receive virtual assets, and third party service providers with whom we cooperate (such as wallet service providers, pricing information providers, blockchains) Point Service Providers, Payment Processors, etc.) may pose counterparty risks.

Such risks include but are not limited to: security vulnerabilities, system failures, contract breaches, credit risks, bankruptcy risks, service interruptions and market losses, etc. Business difficulties, technical problems, or malicious behavior of any trading partner may result in your assets being lost or not recoverable. Therefore, you should decide whether to trade, hold, or transfer virtual assets through ZONE Wallet after a full assessment of your risk tolerance.

6. Information security and network risks

ZONE Wallet does its best to reasonably manage and allocate sufficient resources to ensure the security of information used to provide the virtual asset service platform. However, all IT systems, personal electronic devices and/or web pages may be subject to the risk of malicious attacks, intrusions, fraud, phishing attacks, software vulnerabilities, malware, virus infections with data or trade secrets, etc., due to malicious third party intrusions or any unauthorized internal and external acts.

In addition, blockchain technology itself may have technical flaws or vulnerabilities, and smart contracts may contain programming errors or design flaws that lead to asset losses. ZONE Wallet does not carry out any security assessment of your personal electronic device on which you use, browse or access our web pages or applications, so you are solely responsible for whether your personal electronic device is secure.

To protect the security of your account, we strongly recommend that you:

• Use a strong password and change it regularly
• Enable Dual Authentication (2FA)
• Do not trade in a public network environment
• Regularly check your account activity history
• Keep your private keys, passwords, and login credentials well, and never share them with others

7. Cyber and Electronic Trading Risks

ZONE Wallet may result in network transmission or electronic transactions being unable to transmit or delay transmission due to any technical infrastructure issues, internal and external factors, natural disasters, human loss, or failure of any computer equipment, software hardware and network service providers, resulting in an internet connection to our services Unstable situations, website or application failures, transaction delays, or inability to browse.

In addition, the blockchain network itself can experience congestion, forks, downtime, or other technical issues, resulting in transaction delays or failures. In this case, your trade order may not be executed in time or the market price has changed significantly at the time of execution. Therefore, you should evaluate your risk tolerance and decide whether to use some or all of the virtual asset services provided by ZONE Wallet.

8. Technical and operational risks

Virtual asset trading involves complex technical operations, including wallet address management, transaction signing, network fee settings, and more. Operational errors can lead to permanent loss of assets, such as:

• Sending virtual assets to the wrong address
• Choosing the Wrong Blockchain Network
• Lost Private Key or Auxiliary Note
• Setting improper transaction fees results in transaction failure or delay

Please note that blockchain transactions are usually not revocable or undone once confirmed.

ZONE Wallet recommends that you test the transaction with a small amount to confirm the correctness of the operation before making large transactions. IMPORTANT PRIVATE KEYS OR AUXILIARIES SHOULD BE PROPERLY BACKED UP AND STORED SECURELY. MULTIPLE BACKUP METHODS (SUCH AS PAPER BACKUPS, HARDWARE WALLETS, ETC.) ARE RECOMMENDED, AND SENSITIVE INFORMATION SHOULD NOT BE STORED ELECTRONICALLY (E.G. SCREENSHOTS, CLOUD STORAGE).

9. Retention risk

When you choose to store your virtual assets on the ZONE Wallet platform, while we use industry-standard security measures to protect your assets, there is still a risk of hacking, internal management loss, system failure, and more. You should be aware that storing assets on a third-party platform is different from being held in a personal wallet by the nature of the risk.

We recommend that you rationally allocate assets based on asset size, frequency of use and personal risk preferences, not to store all assets in a single platform or wallet.

10. Risk of fraud

There are a variety of scams in the field of virtual assets, including but not limited to: phishing websites, fake officials, investment scams, Ponzi scams, fake air trading activities, fake exchanges, and more. Scammers may impersonate ZONE Wallet officials or use similar URLs to trick users into providing account passwords, private keys, or making transfers.

⚠️ Security Reminder

ZONE Wallet will never proactively ask you for a password, private key, or passphrase

Be sure to verify the correctness of the URL and avoid visiting phishing sites

Be on high alert for investment projects with high promised returns

Don't trust investment advice on social media or so-called “inside news”

In case of any suspicious situation, you should immediately contact ZONE Wallet customer service through the official channel

11. Disclaimer and Informed Consent

By using some or all of the virtual asset services provided by ZONE Wallet, you mean:

• You have fully read, understood and agreed to all contents of this Risk Disclosure Statement
• You have a good understanding of the high-risk nature of virtual asset trading
• You have sufficient knowledge of virtual assets and risk tolerance
• You voluntarily assume all risks and losses arising from your use of our services
• You agree to waive any and all rights of claim against ZONE Wallet for any loss or damage arising from virtual asset exchanges (except as may not be waived by law)
• You confirm that the information provided is true, accurate and complete and that you are willing to comply with all applicable laws and regulations

12. Update of the declaration

ZONE Wallet reserves the right to revise and update this statement at any time without prior notice. The revised statement will be published on the ZONE Wallet official website or app and will take effect from the date of publication. Your continued use of the ZONE Wallet Service constitutes acceptance of the revised Statement. We recommend that you review this statement regularly for the most up-to-date information.

Contact Information

If you have any questions about this Statement or require further risk clarification, please contact the ZONE Wallet Customer Service team as follows:

Official Website:[Please enter the official website URL]

Customer Service Email：[Please fill in the customer service email]

Customer Service Hotline:[Please fill in the customer service number]

Last Updated Date of this Statement: [Please fill in the date]

⚠️ Please make a careful assessment of your risk tolerance ⚠️

Investing in virtual assets is risky. Learn more about product characteristics before investing

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